The Trump Tax Cut by the Numbers
Have you been wondering whatever happened to the Trump Tax Cut of 2017? Remember, this was the stimulus to jobs growth that we so desperately needed. It’s been almost three years now so, how did that all work out? Let’s take a look.
This was a supply side tax cut of gargantuan proportions – How do I know this? The government told me so. The Congressional Budget Office has estimated the total cost of the tax cuts to be $2.3 trillion, including half a trillion in interest on the loans – leading to trillion dollar deficits as far as the eye can see. And, most unfortunately, this was money we didn’t have.
We had to borrow every penny. As it turns out, we borrowed enough money in this legislation to provide $1600 for every household in America. That’s how much we borrowed. Is that how the money flowed? $1600 per family? Let’s take a closer look.
Imagine all American families are placed into five equal boxes. The bottom box holds the 20% of families with the lowest annual income and the top box holds the 20% who make the most. The middle three boxes are the in-between groups. If the tax cuts were distributed equally, each family in each box would have received $1600. But that is not how it happened.
First, the group at the bottom received just $60 per family per year. Not sixteen hundred. Not even six hundred. Just sixty. The next box up, which includes a lot of senior citizens on social security got $400. What happened to the other $1200? The next box up, the middle one, got $900. The next box got $1800. But where is the difference from the first three boxes?
When we get to the top box, we find the missing shares all concentrated here. Seventy-six hundred dollars per family, more than four times what would have been an equal share. And what about the infamous top one percent? What was their share of the tax cut?
Believe it or not, the average share of the proceeds for the top 1% was $51,000 per year. Per family. Per year. So, while the bottom group received seventeen cents per day, the top group got a thousand dollars per week. That’s where the missing money went. Up the ladder. Up to the very top of the ladder. Through those corporate tax cuts.
Hi. I’m Nate Link and I imagine you are wondering what the Republicans were thinking when they came up with another tax cut primarily for rich people. For the complete story on the Trump tax cut, check out the full video essay on my website at www.SnickerSnack.com.
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